Costs revealed: Coalition earmarks $1.2bn for first-home buyer tax scheme
Hope Coumbe, Finance Editor
First published 01 May 2025, 12:00 PM
The Coalition today detailed the underlying cash balance impact of its policy commitments – a last-minute reveal of its budget and costing plans just two days before the federal election.
The First Home Buyer Mortgage Deductibility Scheme – announced last month – will see eligible first-home buyers provided with the tax deduction during the first five years of their mortgage.
The Coalition’s fiscal outlook shows $7m has been budgeted for the 2025-26 financial year, jumping to $132m in 2026-27.
Rolling out the scheme is expected to cost $402m in the 2027-28 financial year, while $710m has been budgeted for 2027-28.
Shadow treasurer Angus Taylor said there is “no more important time for responsible budget management” than now.
“A Dutton Coalition government’s plan to get Australia bank on track will deliver lower inflation, cheaper energy, affordable homes and safer communities,” he added.
“The Coalition will deliver an almost $14bn improvement to the budget bottom line over the four years to 2028-29.”
